Owen's HomeCare Products
Owen McCain,owner of Owen's HomeCare Products,is considering going international.He feels that the products he manufactures will be well-received,especially in developing countries.He wants to understand the exporting process and then scale his exporting activities accordingly.
-If Owen's HomeCare Products decides to sell their products to intermediaries who then resell them to buyers in target markets,the company would be engaging in ________.
A)indirect exporting
B)counterpurchase
C)an acquisition
D)a joint venture

Question

Quizplus · Accepted Answer

Indirect exporting refers to selling products to intermediaries (such as trading companies or export management companies) who then handle the export process and resell the products in the target market. This approach can be a good way to start exporting for companies that are new to international business, as it allows them to benefit from the expertise of intermediaries and reduce their own export-related costs and risks. Counterpurchase, acquisition, and joint venture are different international market entry modes that involve more direct involvement and investment by the company, which may not be suitable for Owen's HomeCare Products at the moment.

Owen's HomeCare Products Owen McCain,owner of Owen's HomeCare Products,is Considering Going International.He Feels